Connect with us

Hi, what are you looking for?

Capital Business
Capital Business

Government

Cabinet approves Africa free trade treaty for ratification

The treaty, which was signed in Kigali, Rwanda, by 44 African nations, will come into effect after it is ratified by 22 countries and Kenya will be one of the first countries that will adopt the agreement/PSCU

NAIROBI, Kenya, Mar 27 – The Cabinet has approved the Africa Continental Free Trade (AfCFTA) treaty for ratification.

The Bill for ratifying the treaty will be presented to Parliament within the next few days following its approval by Cabinet in its first sitting.

The treaty, which was signed in Kigali, Rwanda, by 44 African nations, will come into effect after it is ratified by 22 countries and Kenya will be one of the first countries that will adopt the agreement.

The Cabinet which was chaired by President Uhuru Kenyatta and attended by Deputy President William Ruto urged the private sector to take full advantage of the business opportunities presented by the AfCFTA deal to extend Kenya’s foothold into all the 54 African nations.

“It is a great opportunity to export goods and services to the region and the continent,” the Cabinet said.

The AfCFTA will establish a single liberalized market that will spur industrialization, infrastructural development, economic diversification and trade across the continent that is home to more than 1.2 billion people.

The pact also seeks to promote industrial development through diversification, regional value chain development, agricultural development and food security.

When fully implemented, the treaty is expected to enable residents of all member countries to enjoy the convenience of a single passport and currency.

The trade deal also binds all State parties to eight objectives including the progressive elimination of tariffs and non-tariff barriers to trade in goods.

The signatory State parties are also expected to progressively liberalize trade in services.

Advertisement. Scroll to continue reading.

Under the agreement, African countries will establish a mechanism for the settlement of disputes concerning their rights and obligations.

The Cabinet also approved for ratification the tripartite free trade agreement bringing together the Common Market for Eastern and Southern Africa (COMESA), the Southern African Development Community (SADC) and the East African Community (EAC).

Cabinet also approved a supplementary budget that continues with austerity measures to control expenditure.

The Cabinet said it was necessary to continue to implement austerity measures in order to ensure Kenya continues to operate within its means.

The Cabinet said more focus will be placed on priority areas especially the Big Four plan for Kenya’s growth.

Also approved by Cabinet was the County Retirement Benefits Bill which will establish an umbrella pensions scheme for county employees.

The proposed Bill which will give legal backing to the defined contribution scheme was also approved for forwarding to Parliament.

Cabinet also discussed the recently released Kenya Integrated Budget Household Survey and agreed to discuss the results in order to determine where special interventions are required.

The survey is undertaken to provide parameters for a wide range of national and county-specific indicators necessary for assessment of the living standards of the population.

Advertisement. Scroll to continue reading.

It also provides updated parameters for the sharing of national resources as provided in the Constitution.

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...